Mr Rolf Weasley has recently purchased $12,000 worth of shares in Perloins Ltd. Given the relative risk exposure of Perloins Ltd., Rolf expects an annual rate of return on the
investment of 9% p. a. compounded at regular intervals of 4 months. Approximately how
much would Rolf expect to realise from the sale of his investment in 5 years from now?

You are the cfo of a u.s. firm whose wholly owned subsidiary in mexico manufactures component parts for your u.s. assembly operations. the subsidiary has been financed by bank borrowings in the united states. one of your analysts told you that the mexican peso is expected to depreciate by 30 percent against the dollar on the foreign exchange markets over the next year. what actions, if any, should you take